Nigerian Ports Authority (NPA) has declared that it followed due process as
guided by the Public Procurement Act in the award of a $44.861 USD (N16.150
billion) Warri Channel dredging contract to Dredging International
Services Nigeria (DISN) Limited, a
subsidiary of Dredging
International Services (Cyprus) Limited.
the NPA’s position against the allegation that it awarded the dredging contract
to a company that had been convicted by a court in Switzerland.
be recalled that Dredging International Services (Cyprus) Ltd., was convicted by a Swiss
Court for bribing ex- officials of the NPA, to facilitate some contract
the development, Managing Director of the NPA, Ms. Hadiza Bala Usman, said that
during the bid process, the NPA sent all relevant documents to the Economic and
Financial Crimes Commission (EFCC) to clarify a petition it received against
the company before proceeding.
the procurement process, we had a petition submitted to us that a company that
had prequalified had been convicted. Being mindful of the fact we are aware of
the conviction, in fact, when the company was convicted, that happens to be a partner
in our JV, we submitted the conviction document to the EFCC, and also to the
Attorney-General of the Federation, drawing his attention to the fact that the
company had been convicted and these are the issues of the conviction and the
persons that monies were paid to.
that was made to certain individuals within the NPA and the Federal Ministry of
Transportation and other agencies, to facilitate payment of invoices from NPA.
Ports refused to pay them their JV invoices, demanding for payment, and they
had to make payments to certain people.
to pay for security to enable them access to their dredging work. And they
listed the people that they paid the money.
With that, the Swiss Court now sanction them and convicted them for
making payments outside of the JV.
with all the attendant attachment, listing the beneficiaries of those payments asking
them to investigate further. The company had submitted to us a sworn Notary
affidavit that they were not the company that was convicted.
Bureau of Public Procurement (BPP), and the BPP directed us to do an
independent investigation of the affidavit again, which we did through a law
corruption in the contract award came from a company whose dredging contract
the NPA had terminated due to incompetence and lack of transparency.
terminated the Calabar dredging, we terminated the joint venture. The company
had made claims of payment of $21 million USD form work that they did not do.
We could not verify, so we terminated the contract. We called them and asked
that they paid back FG’s $12 million USD that was paid to them. Also, the
company was engaged through a process that was not in compliance with the
public procurement act.
company’s appointment was in gross violation of the public procurement act. The
president was advised he should never have signed up the JV with this company
that is now petitioning us.
compliance with public procurement processes; everything we did we submitted to
BPP, BPP so guided us and provided us with everything.”
some media reports that the Calabar dredging job that the NPA referred to was
awarded to Niger Global by NPA on a PPP arrangement, and not DAL or its
He was quoted as saying that “Neither Dredging
Atlantic Limited nor our technical partners, West Minister Dredging were part
of the Calabar dredging bidding process.”